One line added. Outside lenders financing those premiums are out.
The bill adds one line to the state law on how people pay premiums to the Texas Windstorm Insurance Association, banning the use of premium financing arrangements for those policies. It touches coastal policyholders who buy windstorm coverage from the association and any outside lenders that finance those premiums. Starting with policies issued or renewed on or after January 1, 2026, policyholders would have to pay in full or use the association's own no-extra-cost installment plans instead of a third-party finance deal.
Labels
Labels: NO AUTOGRAPH. Became law without the governor's signature on Jun 22, 2025.
relating to the use of installment premium payment plans on Texas
Windstorm Insurance Association policies.
WHAT IT DOES
One line added. Outside lenders financing those premiums are out.
The bill adds one line to the state law on how people pay premiums to the Texas Windstorm Insurance Association, banning the use of premium financing arrangements for those policies. It touches coastal policyholders who buy windstorm coverage from the association and any outside lenders that finance those premiums. Starting with policies issued or renewed on or after January 1, 2026, policyholders would have to pay in full or use the association's own no-extra-cost installment plans instead of a third-party finance deal.
CHARGES
[ ] NONE FOUND
TOTAL
No significant fiscal implication to the State is anticipated.
Names were not printed for yea. Only the named positions are included in member records.
The journal row lists three votes in order: passage to third reading, suspension of the three-day rule, and final passage. This entry records final passage. Repeated tallies belong to separate votes.
Sources
HB 2518 (A. Hinojosa) Relating to the use of installment premium payment plans on Texas Windstorm Insurance Association policies. (viva voce vote) (28-2-1) "Nays" Hagenbuch, Hughes "Present-not voting" Miles (28-2-1) "Nays" Hagenbuch, Hughes "Present-not voting" Miles
Published stock of positions for this vote, except where marked derived.
Yea: 28 (published)
Nay: 2 (published)
Present, not voting: 1 (published)
Absent: Not printed
Excused: Not printed
Senate journal. Source snapshot 2026-10-19, Central time.
Names were not printed for yea. Only the named positions are included in member records.
The journal row lists three votes in order: passage to third reading, suspension of the three-day rule, and final passage. This entry records suspension of the three-day rule. Repeated tallies belong to separate votes.
Sources
HB 2518 (A. Hinojosa) Relating to the use of installment premium payment plans on Texas Windstorm Insurance Association policies. (viva voce vote) (28-2-1) "Nays" Hagenbuch, Hughes "Present-not voting" Miles (28-2-1) "Nays" Hagenbuch, Hughes "Present-not voting" Miles
Published stock of positions for this vote, except where marked derived.
Yea: 28 (published)
Nay: 2 (published)
Present, not voting: 1 (published)
Absent: Not printed
Excused: Not printed
Senate journal. Source snapshot 2026-10-19, Central time.
Names were not printed. No individual positions are inferred.
The journal row lists three votes in order: passage to third reading, suspension of the three-day rule, and final passage. This entry records passage to third reading. Repeated tallies belong to separate votes.
Voice vote. No numeric tally or individual yeas are inferred.
Sources
HB 2518 (A. Hinojosa) Relating to the use of installment premium payment plans on Texas Windstorm Insurance Association policies. (viva voce vote) (28-2-1) "Nays" Hagenbuch, Hughes "Present-not voting" Miles (28-2-1) "Nays" Hagenbuch, Hughes "Present-not voting" Miles
Published stock of positions for this vote, except where marked derived.
Yea: Not printed
Nay: Not printed
Present, not voting: Not printed
Absent: Not printed
Excused: Not printed
Senate journal. Source snapshot 2026-10-19, Central time.
House committee · Insurance · Committee vote 9 aye, 0 nay · Out of committee
Senate committee · Business & Commerce · Committee vote 11 aye, 0 nay · Out of committee
Subjects
Insurance--Property & Casualty
WINDSTORM DEVICES & INSURANCE
WINDSTORM INSURANCE ASSOCIATION, TEXAS
Text
The text as introduced · 221 words
By: Barry
H.B. No. 2518
A BILL TO BE ENTITLED
AN ACT
relating to the use of installment premium payment plans on Texas
Windstorm Insurance Association policies.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 2210.2032, Insurance Code, is amended to
add Section 2210.2032(c) to read as follows:
Sec. 2210.2032. PREMIUM PAYMENT METHODS. (a) The
association shall accept payment of premium by credit card. The
association may impose a fee on a policyholder for the use of a
credit card to pay premium. The fee may not exceed the amount
necessary to recoup the cost incurred by the association in
connection with the policyholder's use of a credit card.
(b) The association shall provide to policyholders the
option to pay premium in installments. A policyholder that pays
premium in accordance with an installment payment plan established
by the association and remains current on the payments satisfies
the obligation for payment of premium under this chapter.
(c) Due to the availability of multiple installment payment
plans directly through the association at no additional cost to the
insured, the use of premium financing arrangements is prohibited.
SECTION 2. The changes in law made by this Act apply to
policies issued and renewed on or after January 1, 2026.
SECTION 3. This Act takes effect September 1, 2025.
Monitoring 
